This model can be enacted by local authorities as follows:

• Local authority designs, builds and commissions solar and storage generation assets onsite.
• Solar energy is used to offset grid imported electricity which results in energy bill savings for the local authority.
• The local authority may also generate additional revenue from exported energy.
• This will require an export arrangement with a balancing responsible party.

It is possible for the local authority to act solely as the generator or offtaker in this business model. 

• Installing a battery to maximise the use of solar energy generated, and other commercial opportunities
• The battery can be used for different purposes:
  • Get a higher value for solar export (e.g. waiting to sell at times of high prices)
  • Reducing the cost of imported electricity (by using stored power during high prices or importing electricity at low prices for later use)
  • Working with National Grid to provide power into Ancillary Services, Balancing Mechanism or Capacity Market
  • Working with DNOs to provide local flexibility services
  • Working with energy partner to improve their trading position or imbalance position 
• Most viable at a large scale

Key Benefits

Financial and CO2

• Increasing self consumption of solar and reducing cost of imported energy
• Additional revenue opportunities from aggregator / energy supplier may be viable for some sites
• CO₂ savings limited under current regulations

Other Benefits

• Increases local system resilience
• Increase local skills and jobs in growth area

Risks and Considerations

• Storage being used for increasing self consumption only not commercially viable
• Further modelling and trials recommended to understand value and risks
• DNO needs to be engaged early, can be difficulties in getting projects signed off
• Supply chain and procurement not as mature as solar market
• Difficult to compete with private sector for revenue and costs